System and method for providing contactless payment with a near field communications attachment

ABSTRACT

A system and method in accordance with exemplary embodiments may include an attachment with a near field communication antenna, a secure element, a plug capable of connecting the attachment to an audio jack on a mobile device. Further, a system and method in accordance with exemplary embodiments may include receiving a payment initiation instruction from a customer, using a near field communication antenna, sending payment information to a point of sale device, using one or more computer processors, encoding data related to the payment as audio data, and transmitting the data related to the payment through an audio jack.

CROSS-REFERENCE OF RELATED APPLICATIONS

The subject application is a Continuation Application U.S. patentapplication Ser. No. 14/875,009, filed Oct. 5, 2015, which is acontinuation of U.S. application Ser. No. 14/156,941, filed Jan. 16,2014, now U.S. Pat. No. 9,177,312, which is a continuation applicationof U.S. patent application Ser. No. 13/538,468, filed Jun. 29, 2012, nowU.S. Pat. No. 9,183,491, which is a continuation application of U.S.patent application Ser. No. 13/441,505, filed Apr. 6, 2012, now U.S.Pat. No. 9,183,490, which claims priority to U.S. ProvisionalApplication No. 61/570,275 filed Dec. 13, 2011, and 61/547,910, filedOct. 17, 2011, the contents of which are incorporated herein byreference in their entirety.

FIELD OF THE DISCLOSURE

The present disclosure relates to systems and methods for providingcontactless payment with a Near Field Communications attachment.

BACKGROUND OF THE DISCLOSURE

Near Field Communications, or NFC, allows for wireless communicationbetween two devices in close proximity to each other. Existing NFCdevices provide limited functionality for contactless payments using a“digital wallet,” but are restrictive and difficult to implement for anumber of reasons.

Current digital wallet solutions require channeling all transactionsthrough a defined group of stakeholders, thus increasing cost andcomplexity of each transaction. Further, current digital walletsolutions require that a mobile device be pre-manufactured with specifichardware already included, thus excluding hundreds of millions ofexisting devices from using a digital wallet solution. These and otherdrawbacks exist.

BRIEF DESCRIPTION OF THE DRAWINGS

Various embodiments of the present disclosure, together with furtherobjects and advantages, may best be understood by reference to thefollowing description taken in conjunction with the accompanyingdrawings, in the several Figures of which like reference numeralsidentify like elements, and in which:

FIG. 1 depicts an exemplary embodiment of a contactless payment system;

FIG. 2 depicts an exemplary embodiment of a contactless payment system;

FIG. 3 depicts an exemplary embodiment of a contactless payment system;

FIG. 4 depicts an exemplary embodiment of a contactless payment system;

FIG. 5 depicts an exemplary embodiment of a contactless payment system;

FIG. 6 depicts an exemplary embodiment of a contactless payment method;

FIG. 7 depicts an exemplary embodiment of a contactless payment method;

FIG. 8 depicts an exemplary embodiment of a contactless payment system;

FIG. 9 depicts an exemplary embodiment of a contactless payment system;

FIG. 10a depicts an exemplary embodiment of a contactless paymentsystem;

FIG. 10b depicts an exemplary embodiment of a contactless paymentsystem;

FIG. 11a depicts an exemplary embodiment of a contactless paymentsystem;

FIG. 11b depicts an exemplary embodiment of a contactless paymentsystem; and

FIG. 12 depicts an exemplary embodiment of a contactless payment method.

DETAILED DESCRIPTION OF THE EMBODIMENTS

The following description is intended to convey a thorough understandingof the embodiments described by providing a number of specific exemplaryembodiments and details involving systems and methods for providingcontactless payment with a NFC attachment. It should be appreciated,however, that the present disclosure is not limited to these specificembodiments and details, which are exemplary only. It is furtherunderstood that one possessing ordinary skill in the art, in light ofknown systems and methods, would appreciate the use of the invention forits intended purposes and benefits in various embodiments, depending onspecific design and other needs. A financial institution and systemsupporting a financial institution are used as examples for thedisclosure. The disclosure is not intended to be limited to financialinstitutions only.

According to the various embodiments of the present disclosure, systemsand methods enable an approach to contactless payments using anattachment to a mobile device. Such attachments may include, for exampleand not by way of limitation, a contactless payment attachment thatplugs into an audio jack or plug of a mobile device. The exemplary useof “mobile device” throughout the application is only by way of example,and the attachment may also be used with personal computers,automobiles, televisions, gaming systems, or any other device capable ofmaking an audio jack connection. The attachment may also plug into anyjack of a mobile device capable of transmitting audio and/or datainformation, for instance, a 2.5 mm audio jack, a 3.5 mm or ⅛ inch audiojack, a multipronged audio jack, or other audio connection. Theattachment may also utilize various other connections available onmobile devices, for example, mini-USB, micro-USB, memory card slots, orproprietary ports such as, for example, a dock connector on a mobiledevice, (e.g. the dock connector on an Apple iPhone®, iPod® or iPad®).In various embodiments, the attachment approach to contactless paymentcould be provided in an online environment, whereby, for example, amobile device (such as a smartphone, audio player, tablet, or othermobile device) with an attachment according to the various embodimentscould send and receive data via a communication network sufficient toenable a contactless transaction, including a contactless paymenttransaction. The attachment could also be used in an offline manner,whereby an attachment could connect to the mobile device alone and used,regardless of whether the mobile device is connected to a communicationnetwork at the time of use. This attachment could eliminate the need fora consumer to purchase a mobile device with special hardware, enable auser to quickly and cost-effectively add contactless payment features totheir mobile device, and/or enable a user or financial institution tobypass traditional stakeholders in the payment process.

The attachment may be, for example and not by way of limitation, anaudio plug/jack based attachment for mobile devices, smartphones, orother personal digital assistants (e.g. tablet computers, music players,etc.) In one embodiment, this attachment may be operable with any mobiledevice, PDA class device or smartphone that includes an audio jack orplug. The mobile device may run software or firmware (for example, an‘app’) that works with the dongle to enable mobile payments. Theattachment may perform similar functions to existing digital walletsolutions without the trouble of strict hardware requirements or needingto use a specific intermediary for a transaction. The attachment mayprovide a pass-through or other addition to provide traditional audiofunctionality (music, calling, etc.) while the attachment is in use. Insome embodiments, the attachment may allow the pass-through audio signalto be suspended or terminated during use of the NFC portion of theattachment.

In an exemplary embodiment, the attachment may be either self-powered orpowered by the mobile device that it may be attached or otherwiseconnected to. In one embodiment, the attachment may plug into orotherwise connect to a personal computer or other source for initialprovisioning of payment credentials. In an embodiment, NFC secureelement provisioning may occur prior to issuance of the attachment. Forexample, a user may provision an attachment once the attachment isobtained by the user. A user may contact a financial institution, whowill then activate the attachment. The attachment may be activated bystandard methods, including but not by way of limitation, using atrusted service manager (TSM), Know Your Customer (KYC), through themobile device, over the phone, or other provisioning process. In oneembodiment, the provisioning may be completed before the user obtainsthe attachment. Additionally, the attachment may be provisioned formultiple financial accounts. This may be completed by provisioning thedevice to store each account or by using the mobile device tore-provision the attachment each time a purchase is desired with adifferent account. The provisioning process may securely pass encryptedcredit card details or other credentials to the secure element, such asthe credit card account number, expiration date, and other track data.

Also, an attachment may be provisioned for credit cards, debit cards,prepaid cards, or any other payment vehicle available to customers,companies, or financial institutions. The attachment may be provisionedwith or without user interaction, by the customer or financialinstitution, and any other acceptable method of provisioning. Theattachment may be provisioned “over-the-air” or via a wireless or wiredconnection. The provisioning may occur by receiving a signal from atrusted service manager (TSM).

In an exemplary embodiment, the attachment may contain an NFC antennaand secure element (SE). The SE may be a hardware chip speciallydesigned to be tamper proof. In one embodiment, the SE may be used fordigitally and physically secure storage of sensitive data, includingpayment data, health records, car key identifiers, etc. The SE may, forexample, store information related to a person, customer, financialinstitution, or other entity. In certain implementations, the SE mayalso store information related to a financial account, such as, forexample, a credit card number, debit account number, or other accountidentifier. The SE may include a computer processor or othercomputational hardware or software. As one example, the secure elementmay contain the Visa® and MasterCard® applications for PayWave® andPayPass® transactions.

The Secure Element may have the ability to securely store variouscredentials. In one embodiment, the credentials may comprise credit cardinformation. The credentials may expand beyond credit card payment infofor use over NFC. As one example, the information stored on the SecureElement may be used to auto-complete on-line checkouts or enablepurchases in other, third party applications. The Secure Element mayalso store keys, building access information, drivers licenses,passwords, loyalty card information, gift card information, transactionhistory, reward information, ATM access information, addresses,documents, pictures, or other data objects. The secure element may becapable of generating a Dynamic Card Security Code, such as a DynamicCard Verification Value (CVV3) or other security code.

The attachment may also take on multiple different form factors,including but not by way of limitation, those forms that have sufficientspace for company branding or logos. The attachment may take any shapecapable of acting as an attachment. The attachment may be made as smallas possible to be unobtrusive, or be made to have one or more dimensionssimilar to the mobile device it is attached to. In an exemplaryembodiment, the attachment may be square or have any other shape orornamental design.

In an exemplary embodiment, the attachment may include software andapplication programming interfaces (APIs) to enable remote and localprovisioning of the SE, use of NFC antenna, payments enablement, andattachment security management (e.g. long range deactivation). In anexemplary embodiment, the system may include a user interface andsoftware for an associated user access to uses of the SE, the NFCantenna, and any other portion of the attachment for use in any mannerof application desired by user or intended for by issuer. The system andsoftware may allow for multiple cards, accounts, or other informationportions to be stored in the secure element and may allow simultaneousaccess to all, or switch between the individual options.

In an embodiment, the system may include an application and/or userinterface that enables end user control for NFC transmission of paymentdata through an audio plug. The application may operate on the mobiledevice or on an external controller or device. Also, the system mayinclude APIs that allow access to the NFC antenna and secure element forenabling, disabling, locking, initial provisioning, updates, emergencyturnoff, and other operations. The attachment may be provisioned tostore information for multiple accounts, multiple cards, loyalty cards,or any other financial information. The attachment may require a paymentinitiation action enable the attachment for use. For example, theattachment may require a user to enter a PIN code or other identifyinginformation to enable the attachment for user. Additionally, theattachment may stay ‘unlocked’ and a payment initiation action maycomprise a user bumping, touching, or otherwise holding or positioningthe device near a sensor. The attachment may then ‘lock’ after use orafter a certain time after enabling. In one exemplary embodiment, theattachment may provide a physical switch, button, or other way to enableor unlock the attachment. For example and not by way of limitation, auser may press a button and enter a PIN code in order to activate orunlock the attachment. Additionally, the physical switch or button maybe used in place of a PIN code or other functionality. Additionally, thedevice may use any other type of unlocking or enabling the attachment,for example and not by way of limitation a physical gesture, touch, orswipe motion by a user. Also, the system may permit the use of acryptographic protocol (e.g. secure sockets layer) to establish a securechannel for data transmission. Upon a transaction, the attachment maytransmit information regarding the transaction through the audio jack tothe mobile device.

The application and user interface may leverage transaction data gainedfrom the attachment, wireless data connection, over-the-air dataconnection, or other means of data transmission. For example, theapplication and user interface may leverage information about theproducts and/or services being purchased, information about the accountor the account holder, information about the merchant and/or otherparties involved in a transaction, rewards information, promotionalinformation, advertising information, or other useful information.

In an exemplary embodiment, the system may provide capability tosecurely enable an attachment through hardware identifiers like the UDID(e.g. device ID on an Apple iPhone or other mobile device). For example,upon obtaining an attachment, a user may ‘pair’ that attachment with aspecific device by programming the attachment with a hardwareidentifier, thus ensuring that the attachment can only be used with thatdevice. In some embodiments, the user may ‘pair’ an attachment withmultiple devices, or change the pairing of an attachment. Also, thesystem may add authentication layers by utilizing embedded serialnumbers, location-based analytics, transaction count mechanisms, andother layers intended to avoid sniffing or otherwise compromising thesecure payment capabilities. Also, the system may lock the attachment orotherwise prevent some or all functionality if the attachmentdisconnected from an audio jack.

In an exemplary embodiment, software on the mobile device may bepartially or wholly locked or disable if the attachment is removed. Forexample and not by way of limitation, a user may not be permitted tomake a certain higher-risk financial transaction, such as a balancetransfer, without the attachment plugged in. In this way, the attachmentmay be used as an added layer of physical security for operations on themobile device.

The connection between the mobile device and attachment may serve totransmit power sufficient to power the NFC antenna, the secure element,or any part of the attachment or the entire attachment through the audiojack/plug of the mobile device. Also, the connection may include aprocess to provision a secure element through audio jack/plug. Also, theconnection may include a process for binding an audio jack/plug to oneor more specific phone identifiers i.e. UDID (Unique Device ID).

In an exemplary embodiment, the system may enable Industry Standard NFCPayment Transmission. For example, the attachment may enable two loopantennas to form an air-core transformer when placed near one another byusing magnetic induction. The system may operate at 13.56 MHz or anyother acceptable frequency. Also, the attachment may provide for apassive communication mode, where the initiator device provides acarrier field, permitting answers by the target device via modulation ofexisting fields. Additionally, the attachment may also provide for anactive communication mode by allowing alternate field generation by theinitiator and target devices.

In an exemplary embodiment, the attachment may deactivate the RF fieldwhile awaiting data. The attachment may use Miller-type coding withvarying modulations, including 100% modulation. The attachment may alsouse Manchester coding with varying modulations, including a modulationratio[[n]] of 10%. Additionally, the attachment may be capable ofreceiving and transmitting data at the same time, as well as checkingfor potential collisions when the transmitted signal and received signalfrequencies differ.

In an exemplary embodiment, the attachment may be capable of utilizingstandardized transmission protocols, for example but not by way oflimitation, ISO/IEC 14443 A/B, ISO/IEC 18092, MiFare, FeliCa,tag/smartcard emulation, and the like. Also, the attachment may be ableto utilize transmission protocols and methods that are developed in thefuture using other frequencies or modes of transmission. The attachmentmay also be backwards-compatible with existing payment techniques, forexample RFID. Also, the system may support transmission requirements tomeet new and evolving payment standards including internet basedtransmission triggered by NFC. In one embodiment, the attachment inconjunction with the software may utilize PayPass or PayWave systems toenable transactions.

In one embodiment, the attachment may include a magnetic stripe readerfor intaking data from credit cards, debit cards, gift cards, loyaltycards, identification cards, and any other object utilizing a magneticstripe.

In an exemplary embodiment, the attachment may be used to provide offersto a user. These offers may be related to transactions made with theattachment, and may include discounts, advertising, coupons, or anyother offer. The offers may also be based on transaction history,frequency, or location. The offers may also be based on a user'sindicated desires or the location of a user. Information related to theoffer may be received from the NFC antenna or over any other dataconnection. For example, a user could use the attachment to purchase apair of pants and the attachment and software, alone or in combinationwith a point of sale (PoS) device could present an advertisement oroffer to purchase a matching shirt, belt, and/or socks. The PoS devicemay transmit purchase information to the attachment, which may thentransmit the information to the phone. The software may utilize thephone's data connection to download additional information or offers. Asan example and not by way of limitation, the software may automatepost-transaction purchases via an online merchant—(e.g. cables from anonline retailer may be promoted or offered following a purchase at alarge retail store), and optionally provide a user an option to select arelated product the user would like to purchase from a list ofoptions—this may provide a reduced merchandise selection that ispresumably more relevant. Additionally, the offers may be selected byincorporating information from other sources, for example usingpreviously shown offers, past user transactions, consumer preferencesettings, geographic travel patterns, or any other information. Theoffers may also be presented when transactions are identified throughother methods, such as using scanned receipts, photographs of apurchased products, downloaded transaction records, or other ways toidentify a product or service purchased by a user. The software mayfurther present a display the effect of an offer to a user's statementin real-time, or either before or after the offer is accepted orrejected.

In an exemplary embodiment, the software in conjunction with theattachment may present information to a user. Also, the information maybe related to a recent transaction. In some embodiments, the softwaremay present a related or complementary product advertisement. Also, thesoftware may present offers or follow-on pitches related to a purchaseor transaction. Additionally, the software may provide budgetinginformation, credit limit information, alternative warranty offers,and/or alternative purchase terms such as an offer for a payment plan ordynamic term loan for a given purchase. The software may also allowdownloads and/or presentation of additional materials related to atransaction, such as receipts, warranty information, and/or productmanuals. The software may allow for real-time use of reward pointsand/or card-linked offers, (e.g. “spend [x] and we'll take [$y] off yourcredit card statement”), and may allow for a real time message broadcastnotifying the user of any savings.

In one embodiment, the software in conjunction with the attachment mayprovide budgeting functionality. The software may provide real-timeinformation to a user regarding transactions made with the attachment orother transactions, for example, the software may display to a user theamount of money spent in a given category or at a given location.

In an exemplary embodiment, the software and attachment may provide forprocess for determining an offer of installment lending related to atransaction from the mobile phone. For example, the software andattachment may, when a user makes a transaction, offer the user aninstallment loan to cover that purchase. This loan may differ from termsof any other credit account the user possesses. The offer may emphasizedynamic loan terms, such as duration, rate, or eligibility based oncreditworthiness, including links to credit card statement data andother account information as the basis for underwriting.

In an exemplary embodiment, the software and attachment may allow forsocial networking functionality. In some embodiments, a user may“check-in” to a location without making a purchase by using theattachment to transmit data to/from a PoS-like “check-in station” at alocation. Also, the software may enable social network updates,postings, or other functionality based on a “check-in” or purchase.

In another embodiment, the software and attachment may allow a number ofoptions to a user. For example, the software and attachment may providea user the option to the user to use Financial institution transactionhistory; Loyalty cards; On-line mobile commerce; Deals/Offers; Coupons;Gift Cards; Insurance Cards; Store Passwords; Provisioning for othercredit cards; Driver's licenses; Peer to Peer payments—tap twoattachments together to transfer payment; Check in when you enter thestore; Social Media check in, notice of what was bought, etc.; Productinformation from tapping on an item; Real time display of upsell andcross sell items; Warranty Upsell (optionally utilizing SKU-level data);Manuals for product (optionally utilizing SKU-level data); Receipts(optionally utilizing SKU-level data); and/or Accepting NFC payments.

In an exemplary embodiment, the attachment may not require a PoS systemto make an NFC payment. As one example, the attachment may allow a userto make contact with another attachment or like device in order tocomplete a payment. The attachment may be used in this way to allow theuser to make a transaction with a commercial entity or another user. Asone example, a user may repay an amount borrowed from another user by“bumping,” or bringing two attachments near one another.

In an exemplary embodiment, the NFC attachment may enable the paymentsthrough network data transmission over the air or through standardterminal routing. For example, the attachment may use NFC or other modeof communication as a trigger for an internet based payment, wiretransfer, electronic funds transfer, or other financial transaction.

In an exemplary embodiment, the attachment may work in conjunction witha token-based payment solution. The token may be transmitted through theabove-detailed near field communications method or by any other suitablemethod, such as barcode or quick response code scanning. Closed loopverification may be enabled by allowing a financial institution to bothissue the token and approve the transaction. Such embodiments mayprovide, for example, a token-based, dynamic solution to contactlesspayments. In various embodiments, the token-based solution could beprovided in an online environment, whereby, for example, a mobile devicesuch as a smartphone could receive a token in “real-time” via acommunication network. The token-based solution could also be used in anoffline manner, whereby a previously-provided token could be used for acertain period of time, regardless of whether the smartphone isconnected to a communication network at the time of use. In effect, thetokens could serve as single-use, or limited-use credit card numbers.

The token-based solution could also allow credit-card issuers, forexample, or any other token-issuer to set different types of parametersaround the token. For example, transaction limits, use limits, timelimits, and the like could be applied to the tokens. In other words,exemplary tokens could apply only to transactions of $100 or less,and/or only to 3 separate transactions before it expires, and only for 3days. The attachment may operate without utilizing tokens.

FIG. 1 depicts an exemplary system 100 for use with the attachmentsolution for contactless payment. As depicted in FIG. 1, system 100 mayinclude a mobile device 102. Mobile device 102 may be any mobile devicecapable of executing the software-based solution for contactlesspayment. For example, mobile device 102 could be an Apple iPhone®, iPod®or iPad®, or any other mobile device running Apple's iOS operatingsystem, any device running Google's Android® operating system, any musicplayer, any device running Microsoft's Windows® Mobile operating system,and/or any other smartphone or like device.

Mobile device 102 may include, for example, a Subscriber Identity Module(SIM) card and an App Processor. A SIM card may be an integrated circuitthat securely stores the service-subscriber key (IMSI) used to identifya subscriber on mobile telephony devices (such as mobile phones andcomputers). Mobile device 102 may connect to attachment 104. Thisattachment may be by way of a plug-in connection to an audio jack on themobile device 102. Information may be transmitted from the attachment tothe device by encoding the transaction data as audio data and sendingthrough the connection to be received by the mobile device's microphone.Processors within the mobile device may then process the data asappropriate, by decoding the data, encrypting the data, sending the datato a third party, storing the data, or other appropriate operation asneeded. The attachment 104 may contain an embedded NFC chip that cansend encrypted data a short distance (“near field”) to a reader 106located, for instance, next to a Point of Sale (PoS) device or likeretail cash register that enables contactless payments. An app processor(not shown) may enable execution of software applications on mobiledevice 102. In one embodiment, the app processor may be a computerprocessor or other processing device adapted for use in a mobile device.In various embodiments, app processor may cooperate with attachment 104to enable contactless payment using mobile device 102. In variousexemplary embodiments, the hardware contained in the attachment 104 maybe partially or wholly redundant with the hardware inside the mobiledevice 102. Reader 106 may then communicate or otherwise transfer thedata to and from payment networks 108. This transfer may be performedthrough a wireless connection, “over-the-air” connection, wiredconnection, or through standard terminal routing.

FIG. 2 depicts an exemplary system 200 for use with the attachmentsolution for contactless payment. System 200 may include a mobile device202. Mobile device 202 may include a display 204 which may display auser interface, including software applications, executing on mobiledevice 202. By way of a non-limiting example, the software applicationsexecuting on mobile device 204 may include a mobile payments application206. In various exemplary embodiments, mobile payments application 206may enable a user to interact with and control the attachment. A usermay select mobile payments application 206, by for example, touchingdisplay 204, which may then launch or otherwise cause the execution ofmobile payments application 206. Mobile device may include an audio jack208. Audio jack 208 may provide the connection for the attachment.

FIG. 3 depicts an exemplary system 300 for use with a token-basedsoftware solution for contactless payment that may also enable NFCcontactless payment. System 300 may include an issuer system 302, amobile device 304, an attachment 322, a network 306, and a merchantsystem 308. In various embodiments, mobile device 304 may be similar tothose described above with respect to FIGS. 1 and 2.

Network 306 may enable communication between mobile device 304, issuer302, and merchant 308. For example, Network 306 may be one or more of awireless network, a wired network or any combination of wireless networkand wired network. For example, network 306 may include one or more of afiber optics network, a passive optical network, a cable network, anInternet network, a satellite network, a wireless LAN, a Global Systemfor Mobile Communication (“GSM”), a Personal Communication Service(“PCS”), a Personal Area Network (“PAN”), Wireless Application Protocol(WAP), Multimedia Messaging Service (MMS), Enhanced Messaging Service(EMS), Short Message Service (SMS), Time Division Multiplexing (TDM)based systems, Code Division Multiple Access (CDMA) based systems,D-AMPS, Wi-Fi, Fixed Wireless Data, IEEE 802.11b, 802.15.1, 802.11n and802.11g or any other wired or wireless network for transmitting andreceiving a data signal.

In addition, network 306 may include, without limitation, telephonelines, fiber optics, IEEE Ethernet 902.3, a wide area network (“WAN”), alocal area network (“LAN”), or a global network such as the Internet.Also network 306 may support an Internet network, a wirelesscommunication network, a cellular network, or the like, or anycombination thereof. Network 306 may further include one network, or anynumber of the exemplary types of networks mentioned above, operating asa stand-alone network or in cooperation with each other. Network 306 mayutilize one or more protocols of one or more network elements to whichthey are communicatively coupled. Network 306 may translate to or fromother protocols to one or more protocols of network devices. Althoughnetwork 306 is depicted as a single network, it should be appreciatedthat according to one or more embodiments, network 306 may comprise aplurality of interconnected networks, such as, for example, theInternet, a service provider's network, a cable television network,corporate networks, and home networks.

Issuer system 302 may include, for example, a token manager 314, anaccount database 316, a communication module 318, and an authorizationmodule 320. Token manager may generate, maintain, and provideinformation relating to the tokens used in the software-based solutionfor contactless payments. In various embodiments, token manager 314 maybe integrated into issuer system 302 as depicted in FIG. 3. Tokenmanager 314 may also be a third-party system that works in cooperationwith issuer system 302 to generate, maintain, and provide tokens for usein the software-based solution for contactless payments. Accountdatabase 316 may maintain information relating to the accounts ofcustomers associated with an issuer. As referred to herein, an issuermay include, for example, a credit card issuer, or any other issuer oftokens for contactless payment. These tokens may enable additionalsecurity during NFC contactless payment transactions. Account database316 may also include an association of tokens with respective customers.For example, account database 316 may include an association of a token“123456” with account number “1234 5678 9012 3456,” which belongs toJohn Q. Cardholder. As will be described in more detail below, accountdatabase 316 may be accessed for authorizing transactions and or paymentrequests.

Communication module 318 may enable communication between the componentsof system 300. Communication module 318 may include hardware, software,and firmware that may enable communication between an issuer system 302and other components of system 300 using network 306, for example.

Authorization module 320 may include business logic used to determinewhether a transaction or payment request should be authorized. Forexample, authorization module 320 may include executable programs thatdetermine whether the token is associated with the correct mobile deviceand/or issuer account and whether the token use is within the limitingparameters before authorizing a particular transaction. Authorizationmodule 320 may cooperate with communication module 318 to communicateauthorization decisions to merchant 308 and/or mobile device 304.

Merchant 308 may include a Point of Sale (PoS) device 312 and a paymentprocessing system 310. In various embodiments, PoS device 312 may be anydevice that may receive NFC communication, for example and can beutilized to process payment transactions. PoS device 312 may be forexample, PoS devices made by VeriFone® and/or any other like devices.PoS device 312 may permit transmittal, provisioning, issuance, or othersimilar action with a number of different programs, for example, loyaltyand rewards programs, advertising programs, promotional programs, giftprograms, etc. For example, PoS device 312 may enable two loop antennasto form an air-core transformer when placed near one another by usingmagnetic induction. The system may operate at 13.56 MHz or any otheracceptable frequency. Also, PoS device 312 may provide for a passivecommunication mode, where the initiator device provides a carrier field,permitting answers by the target device via modulation of existingfields. Additionally, PoS device 312 may also provide for an activecommunication mode by allowing alternate field generation by theinitiator and target devices.

In an exemplary embodiment, PoS device 312 may deactivate the RF fieldwhile awaiting data. PoS device 312 may use Miller-type coding withvarying modulations, including 100% modulation. PoS device 312 may alsouse Manchester coding with varying modulations, including a modulationratio of 10%. Additionally, PoS device 312 may be capable of receivingand transmitting data at the same time, as well as checking forpotential collisions when the transmitted signal and received signalfrequencies differ.

In an exemplary embodiment, PoS device 312 may be capable of utilizingstandardized transmission protocols, for example but not by way oflimitation, ISO/IEC 14443 A/B, ISO/IEC 18092, MiFare, FeliCa,tag/smartcard emulation, and the like. Also, PoS device 312 may be ableto utilize transmission protocols and methods that are developed in thefuture using other frequencies or modes of transmission. PoS device 312may also be backwards-compatible with existing payment techniques, forexample RFID. Also, the system may support transmission requirements tomeet new and evolving payment standards including internet basedtransmission triggered by NFC.

Payment processing system 310 may allow merchant 308 to request andprocess payments, for example. Payment processing system 310 may utilizenetwork 306 to communicate payment requests to issuer system 302 andreceive authorization requests. In doing so, payment processing system310 may transmit information to issuer system 302 using, for example,networks maintained by Visa®, MasterCard®, Discover®, American Express®and the like. Also, payment system 310 may be capable of communicatingtoken information using data standards defined by the above-describednetworks. To make a payment with the system, a user may place theattachment 104 near the PoS device 312, thus enabling data transmissionvia NFC.

FIG. 4 depicts an several exemplary attachments for use with theattachment solution for contactless payment. In one embodiment shown,the attachment 400 may contain a plug 402 and a housing 404. The plug402 may be adapted to plug into a standard and/or universal audio jack,and may further be configured to transmit and receive data.

FIG. 5 depicts one possible embodiment of the attachment 500. Theattachment may comprise an audio jack plug 502 and a housing 504. Thehousing 504 may be produced from plastic, metal alloy, or any othersuitable substance. The housing 504 may contain a near fieldcommunication radio 506, a secure element 508, and an input/outputmodule 510. In one embodiment, near field communication radio 506,secure element 508, and an input/output module 510 may all be combinedinto one chip, separated onto multiple chips or circuits, or any otherpossible combination. The near field communication radio 506 and secureelement 508 may be connected in parallel, in series, or any otherpossible combination. The near field communication radio 506 and secureelement 508 may each maintain a connection to the input/output module510 if desired. In various embodiments, only one of near fieldcommunication radio 506 and secure element 508 may maintain a connectionto the input/output module 510 to enhance security. Near fieldcommunication radio 506 may comprise one unit, or a separate antenna andNFC controller. Near field communication radio 506 and secure element508 may be connected, for example, via a Single Wire Protocol (SWP)interface, S2C interface, etc. Secure element 508 may comprise auniversal integrated circuit card (UICC), a secure digital or othermemory card, SIM card, microcontroller, or any other possibleimplementation. The secure element may comprise one or multiple computerprocessors. The secure element may comprise one or multiple errordetection systems, tamperproof storage modules, execution memorymodules. Secure element 508 may represent multiple secure elements usedto isolate various applications and provide additional security. Secureelement 508 may optionally be removable to facilitate ease of use.Input/output module 510 may be capable of decoding audio data for use inthe attachment. Input/output module 510 may be capable of encodingstandard data for output through the audio jack plug 502. Input/outputmodule 510 may comprise one module or multiple modules, and may beoptionally combinable with one or both the secure element 508 and nearfield communication radio 506. Input/output module 510 may be capable ofcommunicating with the mobile device by using a host controllerinterface. For example and not by way of limitation, input/output module510 may use a Java Contactless Communication API (JSR 257), a JavaSecurity and Trust Services API (JSR 177), Security and Trust ServicesAPI (SATSA), an ISO/IEC 7816 compatible interface, or any otheracceptable means or protocol to communicate with the mobile device orany other component. Additionally, the attachment may provide additionalfeatures deemed useful, such as, for example, a display, signal light,speaker, additional input/output mechanisms, or other advantageousfeatures.

FIG. 6 depicts an exemplary method 600 for an approach to contactlesspayment. Method 600 utilizes tokens to enable contactless payment, andmay be used in conjunction with the attachment, or may not be used atall. Note that the attachment and any other items described herein donot require the use tokens and tokens may optionally be used. Method 600may begin in block 601.

In block 602, a customer may initiate a request for a token. In variousembodiments, a customer may “tap” the mobile device and attachment to aPoS device, for example to initiate the request for a token at the timeof a transaction. A customer may also initiate a request by requesting atoken through a mobile payments application using a mobile device. Also,the token used in FIG. 6 may be account information that would normallybe transferred in a simple credit card swipe transaction, already storedin the attachment, and the request may be handled within the attachmentand mobile device environment.

In block 603, the token may be sent to a customer's mobile device. Forexample, a token manager may send a token to mobile device using acommunication network and/or various communications similar to thosedescribed in FIG. 3. Also, the transfer of the token may be handledwithin the attachment and mobile device environment.

In block 604, a customer may provide the token to a PoS device. Thistoken could be provided at the time of purchase. Upon receipt of thetoken, the merchant, using a payment processing system, for example, incooperation with the PoS device, may format the token into a data formatthat may be utilized by one of the various authorization networks. Forexample, an exemplary 6-digit token may be inserted into one of the“tracks” of data utilized by the Visa® network to transmit and receivedata. As noted above, the token provided may also represent simpleaccount information such as the information that would be transferred bya credit card swipe transaction.

In block 605, the merchant may send the token to the issuer forauthorization. For example, the merchant may send a token to the issuerusing a communication network and/or various communications similar tothose described in FIG. 3. As noted above, the token provided may alsorepresent simple account information such as the information that wouldbe transferred by a credit card swipe transaction.

In block 606, the issuer and/or token manager may verify the tokenand/or transaction utilizing the token. For example, the issuer may usethe token to look up the account of the customer and determine whetherthe transaction should be authorized. As noted above, the token providedmay also represent simple account information such as the informationthat would be transferred by a credit card swipe transaction. The issuerand/or token manager may also check the token against certain parametersto determine, for example, whether the transaction complies with certainparameters or the token has expired. In various embodiments, the issuerand/or token manager may receive and utilize location information oridentification information associated with the customer's mobile deviceto determine whether to authorize the transaction. For example, theissuer and/or token manager may receive and utilize the MAC address of amobile device and/or the merchant location to determine whether toauthorize the transaction.

In block 607, the issuer and/or token manager may communicate theauthorization to the merchant.

In block 608, the transaction may be processed. At block 609, the methodmay end.

FIG. 7 depicts an exemplary method 700 for an approach to contactlesspayment. Method 700 may begin in block 701.

In block 702, a customer may initiate a payment. In various embodiments,a customer may utilize software on the mobile device to signal that apayment is to be made. For example, the customer may select an option topay, or the customer may be presented with various options for payment,including, for example, the account the customer desires to use for thetransaction, the type of transaction, the amount of the transaction, thetime that the attachment should ‘wait’ for the transaction, and/or themerchant targeted in the transaction. Also, the attachment may beenabled for payments through a button or other interface on theattachment itself, or the attachment may always accept payments withoutuser interaction beyond placing the mobile device and/or attachment neara PoS device or other sensor.

In block 703, the attachment may send payment information to the PoSdevice via the near field communication techniques described above. Inan exemplary embodiment, the payment information may comprise, encryptedinformation, information similar to that transmitted in a credit cardswipe transaction, or a message the payment process is ongoing. Thepayment information may comprise a dynamic card verification value(CVV3) generated at the time of the transaction. For example, the systemmay transmit encrypted information representing a customer's accountwith a financial institution to the PoS device. The payment informationtransmitted to a PoS device may be a message stating that thetransaction is processing, and the mobile device may communicate furtherinformation to either the PoS device or another party or device via anon-NFC connection. Upon receipt of the payment information, themerchant, using a payment processing system, for example, in cooperationwith the PoS device, may format the payment information into a dataformat that may be utilized by one of the various authorizationnetworks. For example, the payment information may be inserted into oneor more of the “tracks” of data utilized by the Visa® network totransmit and receive data. As noted above, the information provided mayalso represent simple account information such as the information thatwould be transferred by a credit card swipe transaction.

In block 704, a merchant may send the payment information to issuer forauthorization. For example, the merchant may send a token to the issuerusing a communication network and/or various communications similar tothose described in FIG. 3. In an exemplary embodiment, the informationsent to the issuer may comprise a token as described above, encryptedinformation representing a financial account, the amount of thetransaction, and/or other information necessary to initiate a payment.The information may be sent as received from the attachment/mobiledevice or may be formatted as described above.

In block 705, the issuer may verify the payment information. Forexample, the issuer may use the payment information to look up theaccount of the customer and determine whether the transaction should beauthorized. The issuer and/or token manager may also check the paymentinformation against certain parameters to determine, for example,whether the transaction complies with certain parameters or the tokenhas expired. In various embodiments, the issuer may receive and utilizelocation information or identification information associated with thecustomer's mobile device to determine whether to authorize thetransaction. For example, the issuer may receive and utilize the MACaddress of a mobile device and/or the merchant location to determinewhether to authorize the transaction.

In block 706, the issuer may communicate the authorization to themerchant. In block 707, the transaction may be processed. The merchantor PoS device may send a payment confirmation message to the attachment.

In block 708, the system may present payment confirmation to thecustomer. The confirmation may be presented via the display of themobile device, the speaker of the mobile device, a signal lamp on themobile device, or by a light or sound message from the attachmentitself. The confirmation may comprise a simple notice that thetransaction was completed, and may optionally provide informationsummarizing the transaction, such as, for example, the amount of thetransaction, the account used for the transaction, the balance of theaccount used for the transaction, the merchant name, and/or any otheruseful information. At block 709, the method may end.

FIG. 8 depicts one possible embodiment of the attachment 800. Attachment800 may comprise an audio jack plug 804 and a housing 802. Attachment800 may be packaged with or otherwise function with storage unit 806. Inan exemplary embodiment, storage unit 806 may comprise a plastic bodyconfigured to receive a threaded version of attachment 800. Storage unit806 may further comprise a hole, loop, or other portion capable ofattaching to a keychain, lanyard, or otherwise be carried or held by auser.

FIG. 9 depicts one possible embodiment of the attachment 900. Theattachment may comprise an audio jack plug 902, a ribbon 904, and anaudio jack 906. Ribbon 904 may contain a near field communicationantenna, secure element, and/or an input/output circuit. Attachment 900may be elongated to mimic or otherwise function in conjunction withexisting headphone cords. Audio jack 906 may be configured to receive aheadphone audio plug and serve as the user interface of a “pass-through”connection.

FIG. 10A depicts one possible embodiment of the attachment 1000.Attachment 1000 may comprise an audio jack plug 1002 and housing 1004.Housing 1004 may be formed to function as a knob or other movable piece.Housing 1004 may contain an activation circuit comprising a switch orother mechanism capable of sending a signal when housing 1004 is rotatedto a certain position or other interaction is completed by a user.Attachment 1000 may optionally have one or more flanges 1006. The one ormore flanges 1006 may extend beyond at least one edge of a device 1008to enable movement or rotation of housing 1004 without moving entireattachment 1000, as shown in FIG. 10B.

FIG. 11A depicts one possible embodiment of the attachment 1100.Attachment 1100 may comprise an audio jack plug 1102, housing 1104,audio jack 1106, and clip extension 1108. Clip extension 1108 may extendbeyond one or more edges of device 1110, and function to hold additionalobjects, cash, cards, or other desirable items, as shown in FIG. 11B.

FIG. 12 depicts an exemplary method 1200 for an approach to contactlesspayment. Method 1200 may begin in block 1202. In step 1204, anactivation signal may be received at one or more computer processors.The activation signal may indicate the entry of a PIN code, the rotationof a knob, the push of a button, a defined switch position, or othersignal indicating that the attachment should be activated to complete anoperation. In step 1206, transaction information may be transmittedthrough an NFC antenna. In step 1208, information about the transactionmay be displayed to a user on an electronic display. The information maybe displayed on any display capable of showing information, for exampleand not by way of limitation, a liquid crystal display, light emittingdiode display, plasma display, organic light emitting diode display,light projection, laser, carbon nanotubes, holographic display, or othersegment display, full-area two dimensional display, and/or threedimensional display.

In the preceding specification, various preferred embodiments have beendescribed with references to the accompanying drawings. It will,however, be evident that various modifications and changes may be madethereto, and additional embodiments may be implemented, withoutdeparting from the broader scope of the invention as set forth in theclaims that follow. The specification and drawings are accordingly to beregarded as an illustrative rather than restrictive sense.

The invention claimed is:
 1. A contactless system, comprising: atamperproof housing that protects components of a contactlessattachment; a proximity integrated circuit card within the tamperproofhousing that securely stores a payment token upon account provisioning,wherein the payment token is a surrogate value for a primary accountnumber used to identify an account and is used to generate a cryptogramthat is unique to a mobile transaction and is transmitted from thecontactless attachment when the contactless attachment is used duringthe mobile transaction involving the account; a radio frequencyinterface connected to the proximity integrated circuit card within thetamperproof housing, wherein the radio frequency interface includes anear field communication antenna that establishes a communication linkbetween the contactless attachment and a proximity coupling device andtransmits the payment token and cryptogram to the proximity couplingdevice via a radio frequency carrier frequency when conducting themobile transaction involving the account; an input/output interfacewithin the tamperproof housing that enables an audio channelcommunication link between the contactless attachment and a mobiledevice, wherein the input/output interface includes an audioencoder/decoder that encodes data to be transmitted to the mobile devicevia the audio channel communication link as attachment audio data anddecodes audio data transmitted from the mobile device via the audiochannel communication link, and wherein the input/output interfacereceives an account provisioning signal that includes the payment token;an audio channel communication mechanism that is operably connected tothe input/output interface, enables contactless attachment to beconnected to an audio jack of the mobile device to enable establishmentof the audio channel communication link, and enables receiving powersupplied by the mobile device; a host controller interface within thetamperproof housing that controls certain operations of the contactlessattachment, including transmission of encoded data to the mobile devicevia the audio channel communication link and transmission of the paymenttoken to the proximity coupling device via the radio frequency carrierfrequency; and a power source associated with the audio channelcommunication mechanism supplies power to the proximity integratedcircuit card, radio frequency interface, input/output interface, andhost controller interface during account provisioning.
 2. Thecontactless system of claim 1, wherein the contactless attachment isencapsulated into a wearable accessory.
 3. The contactless system ofclaim 1, wherein the radio frequency carrier frequency is 13.56 MHz. 4.The contactless system of claim 1, wherein the mobile device executes amobile application and the contactless attachment is compatible with themobile application.
 5. The contactless system of claim 1, wherein theaudio channel communication mechanism includes a 3.5 mm 4 pole audioplug.
 6. The contactless system of claim 1, wherein the contactlessattachment is MiFare compliant.
 7. The contactless system of claim 1,wherein the contactless attachment is International Organization forStandardization/International Electrotechnical Commission 14443 (ISO/IEC14443) compliant.